Bank of America has agreed to pay an estimated $727 million in restitution to 1.4 million consumers the Consumer Financial Protection Bureau says were harmed by its deceptive marketing of credit card add-on products. The bank will also pay $20 million to the CFPB’s Civil Penalty Fund. The CFPB’s investigation into Bank of America’s payment […]
Joe Mont
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Poll: First Conflict Minerals Filings Have Companies Scrambling
With the first reporting requirements for the Securities and Exchange Commission’s conflict minerals rule due on May 31, many public companies are still in the early stages of compliance and risk falling behind, according to a new survey by audit firm PwC. It found that only four percent of companies have completed a draft of […]
Posted inAccounting & Auditing
Big Banks Face Greater Capital Demands Under New Rule
The eight largest U.S. Banks must set aside billions of dollars more in cash reserves if they want to avoid restrictions on bonuses and dividend payments. The Federal Reserve Board, the Federal Deposit Insurance Corporation, and the Office of the Comptroller of the Currency have adopted a final rule that strengthens leverage ratio standards for […]
Posted inAccounting & Auditing
Federal Reserve Grants Banks More Volcker Rule Extensions
Once again, the Federal Reserve is giving banks a reprieve from the Volcker rule. Its Board of Governors has agreed to offer them an additional two years to unwind their ownership and sponsorship interests in collateralized loan obligations. CLOs, securitization vehicles backed by commercial loans, are among the financial instruments prohibited by the Volcker rule, […]
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Jobs Act 2.0 Gathers Momentum With Congressional Hearing
The push for a JOBS Act 2.0 kicks into high gear this week with a Congressional hearing on several bills that will likely be part of a legislative package intended to bolster capital formation and pare back public company disclosure requirements. The House Committee on Financial Services will hold the public hearing, “Legislative Proposals to […]
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Could an SEC Disclosure Overhaul Actually Make Things Worse?
Sweeping changes may be afoot for the Securities and Exchange Commission’s disclosure and reporting regime, but some are wondering if overhauling disclosure could actually bring more work and higher costs for reporting companies. The agency is taking a comprehensive look at ways to streamline requirements, modernize the filing process, and reduce redundancy. It is a […]
Posted inAccounting & Auditing
Why Citigroup’s Stress Test Failure Shouldn’t Be So Surprising
Flash back to your days in school and the stressful day that report cards were handed out and you will get a sense of what top bank executives were going through on March 26. On that day, the Federal Reserve announced the results of its annual stress tests, which assess the financial health of the […]
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Updated SEC Guidance Addresses Conflict Minerals Audits
New guidance, much of it focused on audit requirements for companies disclosing their use of “conflict minerals” mined in the Democratic Republic of the Congo, is now available from the Securities and Exchange Commission. Nine new topics were added to an ongoing list of Frequently Asked Questions published as Compliance and Disclosure Interpretations by the […]
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OCC Celebrates Anniversary, 150-Year-Old Bank Concerns Persist
The more things change, the more they stay the same. The guidance banks received in the 1863 from the first Comptroller of the Currency could easily be cut-and-pasted into an alert from the modern-day regulator. The Office of the Comptroller of the Currency celebrated its 150th anniversary this week with a day-long conference in Boston. […]
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Friended on Facebook? Praised on Yelp? The SEC May Take a Look
Can being friended on Facebook be a securities law violation? That is among the social media dilemmas faced by investment advisers. The Securities and Exchange Commission expressly prohibits the use of testimonials in their advertisements, but where do social media and review sites like Yelp and Angie’s List fit in? The SEC’s Division of Investment […]
